APA Corporation (APA)
Profitability ratios
Return on sales
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 43.08% | 45.77% | 47.94% | 49.89% | 51.06% | 51.72% | 52.22% | 54.87% | 56.48% | 55.43% | 54.06% | 50.43% | 44.33% | 40.12% | 36.05% | 26.84% | 20.41% | 21.65% | 19.60% | 26.23% |
| Operating profit margin | 33.01% | 35.84% | 37.19% | 37.79% | 40.17% | 39.97% | 41.24% | 44.65% | 60.84% | 59.20% | 59.41% | 57.26% | 38.99% | 36.52% | 31.65% | 21.42% | 3.90% | -4.88% | -5.27% | 3.85% |
| Pretax margin | 15.76% | 17.13% | 30.64% | 30.65% | 34.82% | 36.64% | 38.02% | 40.77% | 51.77% | 51.24% | 45.03% | 40.64% | 23.68% | 18.93% | 21.07% | 6.97% | -109.13% | -164.12% | -155.13% | -128.88% |
| Net profit margin | 8.26% | 24.18% | 32.39% | 33.39% | 34.48% | 17.77% | 16.24% | 19.52% | 33.17% | 33.14% | 30.55% | 28.10% | 12.19% | 8.99% | 12.55% | 0.95% | -108.70% | -161.68% | -155.30% | -132.92% |
APA Corporation's profitability ratios have shown varying trends over the past few years.
1. Gross Profit Margin: The gross profit margin has been fluctuating between 43.08% in December 2024 to 56.48% in December 2022. This ratio indicates the company's ability to generate profit from its revenue after accounting for the cost of goods sold. The trend shows an overall decrease from the peak in December 2022.
2. Operating Profit Margin: The operating profit margin has shown a somewhat volatile pattern, ranging from -5.27% in June 2020 to 60.84% in December 2022. This ratio reflects the efficiency of the company's operations in generating profit before interest and taxes. There is some instability in the trend, with a general decrease from the highest point in December 2022.
3. Pretax Margin: The pretax margin has been improving steadily, reaching 51.77% in December 2022 from a low of -164.12% in September 2020. This ratio represents the company's ability to generate profit before taxes relative to its total revenue. The trend shows a consistent increase over the years.
4. Net Profit Margin: The net profit margin has shown a mixed trend, fluctuating between -161.68% in September 2020 to 34.48% in December 2023. This ratio reflects the company's ability to translate revenue into profit after all expenses have been deducted. There are fluctuations in the trend, with periods of significant growth followed by declines.
Overall, while the company has shown improvement in its pretax margin and net profit margin, there are fluctuations in the gross profit margin and operating profit margin. It is important for APA Corporation to focus on sustaining and improving its profitability ratios to ensure long-term financial stability and growth.
Return on investment
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 16.58% | 17.00% | 16.52% | 20.78% | 21.82% | 25.33% | 28.53% | 35.19% | 51.25% | 47.35% | 46.31% | 40.31% | 23.40% | 18.95% | 13.97% | 8.10% | 1.36% | -1.83% | -2.09% | 1.73% |
| Return on assets (ROA) | 4.15% | 11.47% | 14.38% | 18.36% | 18.73% | 11.26% | 11.24% | 15.39% | 27.95% | 26.51% | 23.82% | 19.78% | 7.31% | 4.67% | 5.54% | 0.36% | -37.82% | -60.79% | -61.64% | -59.61% |
| Return on total capital | 39.47% | 41.28% | 60.22% | 115.84% | 123.43% | 328.11% | 545.70% | 1,056.76% | 1,447.52% | 998.50% | 850.34% | — | — | — | — | — | — | — | — | — |
| Return on equity (ROE) | 15.23% | 43.47% | 53.57% | 105.29% | 107.53% | 141.47% | 209.87% | 457.88% | 868.56% | 602.17% | 527.05% | — | — | — | — | — | — | — | — | — |
APA Corporation's profitability ratios show a mixed performance over the analyzed period.
1. Operating return on assets (Operating ROA) has shown a positive trend from March 31, 2020, to June 30, 2022, with significant growth in profitability. However, there was a decline in profitability in the subsequent quarters, although the ratio remained at relatively high levels.
2. Return on assets (ROA) had negative values in the initial quarters but improved consistently from March 31, 2021, to December 31, 2023, signifying enhanced efficiency in asset utilization and generating earnings. The ratio dropped in the last quarter of 2024 but remained positive.
3. Return on total capital was not available until June 30, 2022, showcasing a sharp increase in profitability thereafter. The ratio peaked at an impressive 1,447.52% on December 31, 2022, but gradually declined in the following periods while still maintaining profitability.
4. Return on equity (ROE) was also unavailable until June 30, 2022, and similarly exhibited a remarkable rise in profitability, hitting 868.56% on December 31, 2022. The ratio decreased in subsequent quarters but remained high, indicating efficient earnings generation from shareholder equity.
Overall, APA Corporation's profitability ratios reflect fluctuations but generally a positive trend, with notable improvements in operating efficiency and returns for shareholders, especially in the mid to late periods of the analysis. It is essential for the company to continue monitoring and managing these ratios to sustain and enhance profitability in the future.